Stock Analysis

3 Dividend Stocks For A Balanced Investment Portfolio

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As global markets continue to reach record highs, with indices like the Dow Jones Industrial Average and S&P 500 Index hitting new peaks, investors are navigating an environment influenced by geopolitical shifts and economic data releases. In this context, dividend stocks offer a compelling option for those seeking stability and income amidst market volatility, providing a potential buffer against uncertainties such as trade tariffs and fluctuating interest rates.

Top 10 Dividend Stocks

NameDividend YieldDividend Rating
Guaranty Trust Holding (NGSE:GTCO)7.01%★★★★★★
Peoples Bancorp (NasdaqGS:PEBO)4.57%★★★★★★
Wuliangye YibinLtd (SZSE:000858)3.22%★★★★★★
GakkyushaLtd (TSE:9769)4.67%★★★★★★
Padma Oil (DSE:PADMAOIL)7.18%★★★★★★
Financial Institutions (NasdaqGS:FISI)4.49%★★★★★★
Nihon Parkerizing (TSE:4095)3.91%★★★★★★
FALCO HOLDINGS (TSE:4671)6.84%★★★★★★
Premier Financial (NasdaqGS:PFC)4.46%★★★★★★
Citizens & Northern (NasdaqCM:CZNC)5.45%★★★★★★

Click here to see the full list of 1956 stocks from our Top Dividend Stocks screener.

We're going to check out a few of the best picks from our screener tool.

Fibra MtyP.I. de (BMV:FMTY 14)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: FIBRA MTY, S.A.P.I. de C.V. operates as a real estate investment trust in Mexico with a market capitalization of MX$25.60 billion.

Operations: Fibra Mty's revenue is derived from three main segments: Offices generating MX$737.51 million, Commercial contributing MX$36.44 million, and Industrial providing MX$1.79 billion.

Dividend Yield: 9%

Fibra Mty's dividends have been stable and growing over the past decade, placing them in the top 25% of MX market dividend payers. However, with a payout ratio of 101.2% and cash payout ratio of 126.2%, dividends are not well covered by earnings or cash flows, raising sustainability concerns despite recent profitability improvements. The company reported strong Q3 results with net income at MX$3.10 billion but relies on large one-off items affecting quality earnings perception.

BMV:FMTY 14 Dividend History as at Dec 2024

AB SKF (OM:SKF B)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: AB SKF (publ) is a global company that designs, manufactures, and sells bearings and units, seals, lubrication systems, condition monitoring, and services with a market cap of approximately SEK99.41 billion.

Operations: AB SKF generates revenue from its Automotive segment, contributing SEK28.86 billion, and its Industrial segment, contributing SEK69.58 billion.

Dividend Yield: 3.4%

AB SKF's dividend yield of 3.43% is below the Swedish market's top quartile, and its dividends have been volatile over the past decade, raising concerns about reliability. However, with a payout ratio of 61.1%, dividends are covered by earnings and cash flow, suggesting sustainability. Recent earnings showed a decline in sales and net income year-over-year, but innovative product developments like SKF Infinium bearings could support future growth amidst planned business restructuring to separate its automotive segment.

OM:SKF B Dividend History as at Dec 2024

Compucase Enterprise (TWSE:3032)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Compucase Enterprise Co., Ltd. designs and manufactures PC cases, power supplies, rackmount chassis, and cabinets globally with a market cap of NT$10.31 billion.

Operations: Compucase Enterprise Co., Ltd.'s revenue is primarily derived from its Operation Headquarters segment (NT$5.88 billion), Server Casing Segment (NT$4.63 billion), Manufacturing (NT$4.22 billion), Channel (NT$449.15 million), and Medical Equipment Segment (NT$479.87 million).

Dividend Yield: 3.8%

Compucase Enterprise's dividend yield of 3.81% is below the top quartile in Taiwan, and historical volatility raises concerns about reliability despite a decade of growth. The payout ratio stands at 68.2%, indicating dividends are covered by earnings, while a cash payout ratio of 30.2% suggests strong cash flow support. Recent earnings showed declines in sales and net income year-over-year, potentially impacting future dividend stability amidst its undervaluation compared to estimated fair value.

TWSE:3032 Dividend History as at Dec 2024

Taking Advantage

  • Reveal the 1956 hidden gems among our Top Dividend Stocks screener with a single click here.
  • Got skin in the game with these stocks? Elevate how you manage them by using Simply Wall St's portfolio, where intuitive tools await to help optimize your investment outcomes.
  • Simply Wall St is your key to unlocking global market trends, a free user-friendly app for forward-thinking investors.

Interested In Other Possibilities?

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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